The Timeshare Beat Home | Today's Headlines | Back to Previous Page

Interstate Hotels & Resorts to Manage Calypso Cay Resort Properties in Orlando

Contract Includes Three Hotels and Selected Services for Timeshare Units and Apartments

Press Release: Interstate Hotels & Resorts
June 25, 2003
WASHINGTON, DC -- Interstate Hotels & Resorts (NYSE:IHR), the nation's largest independent hotel management company, yesterday announced that it had signed long-term agreements with Epoch Properties and Florida Capital to manage three hotels in Orlando, Fla. The three hotels - an AmeriSuites Hotel (151 rooms), a Country Inn and Suites (162 rooms) and a La Quinta Hotel (148 rooms) - are part of Calypso Cay Resort, a resort development that also includes two timeshare buildings and an apartment complex of approximately 120 units.

The resort is owned by a joint venture between Epoch Properties, a developer of condominiums, timeshare facilities and high-end apartments in the Orlando area, and principals of Florida Capital.

Two of the hotels, the timeshare buildings and the apartment complex are clustered together on Route 417 at the junction of Route 535, two major east-west tollroads near the Orlando International Airport and the major theme parks. The newly built, 148-room La Quinta Hotel Orlando, which opened May 1, is one-half mile away on the opposite side of Route 417. All three properties are visible from the both highways. All three properties feature interior corridors and either a permanent boardroom or flex space for meetings.

In addition to hotel management, Interstate will provide housekeeping, check-in and maintenance services to the timeshare buildings and a select number of apartments. An outdoor Tiki bar serving food and beverages located between the hotels also will be operated by Interstate.

"Complex resorts, like the Calypso Cay, that include different hotel brands, food and beverage operations and a variety of real estate components, require a special expertise," said John Emery, Interstate president and chief operating officer. "We have a proven track record of operating resort complexes and have built a successful track record managing a portfolio of nearly 30 resorts, which we believe makes Interstate uniquely qualified to help Calypso Cay maximize revenues while delivering a high level of guest service."

"Interstate's experience with complex resorts was a big plus in our search for an appropriate manager," said Tom Selby, president of Florida Capital. "Their size and related economies of scale, in addition to their strong presence in Orlando, will translate into real cost savings and other tangible benefits."

Interstate Hotels & Resorts operates more than 380 hospitality properties with nearly 82,000 rooms in 44 states, the District of Columbia, Canada and Russia, including 55 properties managed by Flagstone Hospitality Management, a subsidiary of Interstate Hotels & Resorts. BridgeStreet Corporate Housing Worldwide, an Interstate Hotels & Resorts subsidiary, is one of the world's largest corporate housing providers, offering upscale, fully furnished corporate housing throughout the United States, Canada, the United Kingdom, France and 39 additional countries through its network partners. For more information about Interstate Hotels & Resorts, visit the company's Web site: www.ihrco.com.

This press release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995, about Interstate Hotels & Resorts, including those statements regarding future operating results and the timing and composition of revenues, among others, and statements containing words such as "expects," "believes" or "will," which indicate that those statements are forward-looking. Except for historical information, the matters discussed in this press release are forward-looking statements that are subject to certain risks and uncertainties that could cause the actual results to differ materially, including the current slowdown of the national economy, economic conditions generally and the real estate market specifically, the impact of the events of September 11, 2001, governmental actions, legislative and regulatory changes, availability of debt and equity capital, interest rates, competition, supply and demand for lodging facilities in our current and proposed market areas, and the company's ability to manage integration and growth. Additional risks are discussed in Interstate Hotels & Resorts' filings with the Securities and Exchange Commission, including Interstate Hotels & Resorts annual report on Form 10-K for the year ended December 31, 2002 and MeriStar Hotels & Resorts' and Interstate Hotels Corporation's joint proxy statement and prospectus, filed on July 2, 2002.

-------------------------------------------------------

Contact: 
     Interstate Hotels & Resorts
     Melissa Thompson, 202/295-2228
      or
     Daly Gray Public Relations
     Media:
     Jerry Daly/Carol McCune, 703/435-6293

Source: Interstate Hotels & Resorts